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FTA Publishes Guidance on Joint Development

Earlier this week, on August 25, 2014, the Federal Transit Administration (“FTA”) published Circular 7050.1, providing much anticipated guidance for grantees interested in pursuing joint development projects within FTA’s...more

Pennsylvania Supreme Court Rules Only Original Purchasers May Recover Damages for Breach of the Builder’s Implied Warranty of...

The Pennsylvania Supreme Court ruled that a builder’s implied warranty of habitability extends only to the initial buyer of a home, and not to subsequent purchasers. In Conway v. The Cutler Group, Inc., the Court reversed an...more

Pennsylvania Supreme Court Holds Contractor May Recover in Quantum Meruit Where Home Improvement Contract Does Not Satisfy...

Homeowners Raymond and Donna Mantia contracted Shafer Electric & Construction (“Shafer”) to build a two-car garage addition onto their house. Shafer’s proposal was extremely detailed as to the work to be completed. Despite...more

Colorado Construction Monitor - Summer 2014

In this Issue: - Denver’s construction activity approaching historic peak of 2007 - Market Update - Condominium Construction Defects Legislation Introduced - Whether for Cause or Convenience,...more

"Construction Alert" Texas Supreme Court Confirms Owners May Bring Negligence Claim Directly Against Subcontractors

Several cases have held that a homeowner cannot sue a subcontractor for defective work because the homeowner’s contract is with the general contractor and not the subcontractor. Those cases left it to the general contractor...more

Are You Done Yet? Compensation for Impacts of Public Works in Alberta

During the recent resurfacing of Bow Trail there was a message posted on a pylon sign by an adjacent business owner that read “Bow Trail is not Rome. Please Complete” (see “Road Construction Delays Cause Headaches for...more

The Construction Advantage – Issue 8

In our eighth issue of The Construction Advantage, we provide you with three new cases, with two of them coming from the Maine courts. We hope that this newsletter has been helpful and informative to you so far in 2014....more

Nevada Supreme Court Clarifies Mechanic and Materialman Lien Issues

On August 7, 2014, the Nevada Supreme Court issued two opinions dealing with the priority of mechanics’ liens and the proof required for a materialman to establish a lien. These cases provide valuable guidance to lenders,...more

New retainage law goes into effect November 6

Massachusetts enacted a new retainage law that will require owners, prime contractors and subcontractors to pay retainage according to the law’s terms on a construction contract if... ...more

Caveat Venditor (Let the Seller Beware):Consumer Protection Laws Can Have Significant Implications

A decision by the District of Columbia Court of Appeals emphasizes the need for real estate developers to proceed with caution when making representations to potential home buyers in jurisdictions with consumer protection...more

Fifth Circuit Holding Breathes Life Back Into the Contractual Liability Exclusion

Liability insurance policies typically exclude coverage for obligations arising out of the insured’s “assumption of liability in a contract or agreement.” Earlier this year, the Texas Supreme Court took a narrow view of this...more

Foreign Investors Still Stimulating Miami’s Real Estate Boom

Miami, once the poster child for the recent housing bubble and subsequent crash, now has the strongest housing market in the U.S. and is one of the exclusive high-end real estate “export” economies in the world. This...more

Architects and Design Professionals Can Be Held Liable for Defects Based On Third Party Claims

A homeowners association, on behalf of its members, sued a condominium developer and various other parties for construction design defects that allegedly made their homes unsafe and uninhabitable for a significant portion of...more

“California’s Right To Repair Act Is Not A Homeowner’s Exclusive Remedy When Construction Defects Cause Actual Property Damage.”

The California Court of Appeals recently issued two decisions holding that California’s Right to Repair Act (“SB 800”) is not the exclusive remedy for a homeowner seeking damages for construction defects that have also...more

Appellate Court Notes

SC19162 - C & H Electric, Inc. v. Bethel - Congratulations to our own Rick Robinson and Joshua Hawks-Ladds on this victory for our client, the Town of Bethel! Electrical contractor agreed to perform work on school...more

Getting Paid On Time: The Prompt Pay Act

Contractors in Maryland have available statutory remedies for non-payment. The Maryland Code contains a Prompt Pay Act (the “Act”). Md. Code Ann., Real Prop. § 9-301 et seq. (Repl. Vol. 2010). The Act entitles a contractor...more

Home Prices Keep Households Out of Market

According to a recent study by the National Association of Home Builders (NAHB) released on August 1, 2014, each $1,000 increase in the price of a newly constructed median priced home results in approximately 206,269...more

Whether faulty workmanship constitutes an "occurence" continues to be revisited by courts across the country

Is there a shift in the longstanding majority view, including in New York, New Jersey and Connecticut, that construction defect claims do not constitute an occurrence when the damage is to the insured’s own work because it...more

California Supreme Court Expands Architect’s Duty of Care to Future Homeowners

A new decision issued by the California Supreme Court holds that, even in the absence of contractual privity, an architect on a residential building project owes a duty of care to future homeowners to provide design services...more

Alabama Joins Recent Trend of States Finding Defective Work May Be Covered Under a Commercial General Liability Policy

The Supreme Court of Alabama recently held in Owners Ins. Co. v. Jim Carr Homebuilder, LLC that a contractor’s commercial general liability (“CGL”) policy provided coverage for property damage caused by the defective work of...more

Warning: A Builder Who Rejects Assigned Counsel May Jeopardize Insurance Coverage

For many reasons, developers and builders in a construction defect lawsuit want to pick their own counsel to defend them. For instance, they have a good working relationship with the counsel, counsel did well in another case...more

New Development Extension Opportunities Now Available

The Florida Legislature has provided numerous extensions for development permits and approvals over the past several years, which have typically required that the holder of the permit or approval provide notice to the issuing...more

“Your Work” Exclusion Bars Coverage for Tearing Down & Rebuilding Wall

The S.C. Court of Appeals recently applied the “your work” exclusion in a declaratory judgment action arising out of a construction defect suit to find the policy did not provide coverage. In Precision Walls v. Liberty Mutual...more

Changes Made to the Pennsylvania Mechanics’ Lien Law to Protect Holders of Open-End Mortgages and Residential Property Owners

Mechanics’ liens grant contractors and subcontractors an interest in improvements made to real property to secure the payment obligations of owners to contractors, and of contractors to subcontractors. While these liens...more

Does The EPA Have A Thing Against Building Energy Codes?

What if there was a technology that had a 20 year track record of saving 4.8 quads of energy and 41 million tons of carbon, while saving consumers more than $44 billion over the past 20 years, and was anticipated to save...more

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